In the part of 4 series this is the third chapter where we will discuss the five stages of life to get the ultimate financial freedom from the part price of your dream.
In this book, the author told us to work on our absolute financial freedom. You may consider this as the highest peak of your life. Before reach there, you need to other smaller goals in life.
- Financial Security
In between them the first is financial security. If you work few years to save as much that you can pay your all bills which is normally half of one`s income. After that you will not have the fear to fire out from your work. You can work for your next dream job as you have time in your hands. If you can pay just your bills you are ready for the next goal.
- Financial Vitality
The next step according to the author is financial vitality. In this phase we accumulate such money so that not only your bills and also other vital expenses such as medical bill, shopping will also cover by your saving money. If you work hard on the finances, you will easily give your footprint to next step.
- Financial Independence
Then come financial independence which many people dream but could not feel in their life. You have to plan smartly so that you can achieve this stage too. It is that time where your passive income covers all your expenses.
When you enter that stage, you don’t need to do boring works. You can do such jobs which will actually make you happy. You will also have a lot of free time as your money is working for you. Free time also mean more opportunity and to start something new.
- Financial freedom
Next come financial freedom phase where not only your passive income can pay your expense but you will also have excess money to contribute in greater cause for the society. It is not an imagination but a true fact people can more happiness by not spending for himself but by giving the needy people of the society. You will get this type of happiness in this stage by doing such works.
- Absolute Financial freedom
The final stage come as an absolute financial freedom which is the ultimate goal of an individual. In this stage you will have such passive income that not only you can get your normal life expenses but you can get luxury life and vacations with that money.
Lesson from this part
This story may sound very easy, but it is indeed very tough to practise in reality. But if you start saving and then investing systematically with proper knowledge, you can achieve this. Maybe it will be difficult when you start but later on you will habituate to the process.
As we are saying you just have to start climbing. After that the path will seem easy. The first step is the toughest one according to the author. You have to make the game winnable so that you can stay in the race.